The ESADEgeo Daily Digest, 24/07/2017

Brussels is preparing to retaliate against the US if Washington pushes ahead with far-reaching new sanctions on Russia that hit Europe’s energy companies or other businesses.

The US House of Representatives is expected to vote on Tuesday on legislation approving sweeping new sanctions to be levied against Russia.

The White House press secretary announced on Sunday that the US administration supported the new language of the bill and suggested that President Trump would sign it.

Brussels is set to argue that the potential economic fallout for Europe from the planned US sanctions stretches beyond the Nord Stream 2 project, warning that they could hit other pipelines, energy projects and companies doing legitimate business with Russian counterparts.

President Erdogan traveled to Saudi Arabia and Kuwait as part of a three-country Gulf tour aimed at helping break the impasse.

The top diplomats of Britain, France, Germany and the United States have visited the Gulf to try to resolve the dispute. President Erdogan is the fifth high-level visitor from outside the Gulf to try to do so.

While members of the anti-Qatar quartet have strong trade links with Turkey, its closeness to Qatar raises suspicions of President Erdogan’s motives.

In his first public comments on the dispute, Qatari Emir Tamim bin Hamad Al Thani said late Friday that Qatar is prepared to engage in dialogue, but that any resolution to the crisis must respect the country’s sovereignty and that any terms cannot be dictated from outside.

On Monday, China issued its strongest warning yet to India over their month-long border dispute, saying Beijing will protect its sovereignty “at all costs”.

China said it plans to strengthen its “targeted deployment and exercises” along the disputed border, adding that India should “have no illusions” about its military’s capabilities or commitment.

The stand-off was sparked by a road construction project in a disputed border area at the tri-junction with Bhutan.

Speaking just a week ahead of the 90th anniversary of the founding of the People’s Liberation Army, the Chinese Defence Ministry spokesman said: “It’s easier to shake a mountain than to shake the PLA.”

The selected pieces do not necessarily reflect the views of Javier Solana and ESADEgeo.